[panarky]

> exceeds the world supply

People say this as if it's evidence of some dark, fraudulent conspiracy.

But it's simply because the exchange allows traders to sell short. If Alice owns 100 troy ounces of gold held in her name at an exchange, and Bob borrows 50 troy ounces and sells them short to Charlie, then Alice owns 100 and Charlie owns 50 when there are really only 100 in the vault.

People own more shares of Tesla than the company has issued, and there are more dollars in bank accounts than the Treasury has issued, and it's all normal and natural and the way the system is supposed work.

[bandrami]

I get that about dollars and stocks, but people who hold gold out of fear that the music is going to stop don't realize the same musical chairs problem applies to precious metals unless you physically have custody of them.

[chii]

> people who hold gold out of fear that the music is going to stop don't realize [it also applies to them]

that's their own fault and lack of knowledge. Nobody has any responsibility to educate them but themselves.